Question 9 please

D Question 9 1 pts CoolTech Inc. is considering a new refrigerated warehouse which will cost $9,000,000 and is expected to have revenues of $800,000 at the end of each of the next 5 years and expenses of $200,000 for years 1-3 and $250,000 for years 4-5. The warehouse is depreciated for 40 years on a straight line basis and expects to have a salvage value of $1,000,000. At the end of 5 years, they expect to sell the warehouse for $5,000,000. Working capital requirements will be $155.000 up front. CoolTech's tax rate is 40% and their cost of capital is 11% CoolTech's NPV is $ Answer in dollars, founded to two decimal places Question 10 1 pts We are replacing a fully depreciated old food processing machine with a new, more efficient model which costs $9000. The machine would be depreciated on a straight-line basis over its 3-year useful life to a book value of $200. At the end of the life of the project at the year 3 point), the machine will be sold for an estimated $800. The old machine has zero book value and will be scrapped for no money. The project will cause an increase in Sales of $9000 in each of years 1 through 3. It is also expected to enhance efficiencies thereby reducing operating expenses by $3000 in each of years 1 through 3. The project will require an increase in Accounts Receivable of Q $ de O & 7 3 4 6 8 9 0 E E R U 1 0 Question 9 1 pts CoolTech Inc. is considering a new refrigerated warehouse which will cost $9,000,000 and is expected to have revenues of $800,000 at the end of each of the next 5 years and expenses of $200,000 for years 1-3 and $250,000 for years 4-5. The warehouse is depreciated for 40 years on a straight line basis and expects to have a salvage value of $1,000,000. At the end of 5 years, they expect to sell the warehouse for $5,000,000. Working capital requirements will be $155,000 up front. CoolTech's tax rate is 40% and their cost of capital is 11%. CoolTech's NPV is $ Answer in dollars, rounded to two decimal places D Question 10 1 pts We are replacing a fully depreciated old food processing machine with a new, more efficient model which costs $9000. The machine would be depreciated on a straight-line basis over its 3-year useful life to a book value of $200. At the end of the life of the project at the year 3 point, the machine will be sold for an estimated $800. The old machine has zero book value and will be scrapped for no money. The project will cause an increase in Sales of $9000 in each of years 1 through 3. It is also expected to enhance efficiencies thereby reducing operating expenses by $3000 in each of years 1 through 3. The project will require an increase in Accounts Receivable of % A & c 9 ) 0 3 4 5 6 7 8 E R T Y U 0